What is Changing?
Under the previous tax law, money from 529 college savings plan could be withdrawn tax-free only to pay college related expenses.
Under the new law, you can withdraw up to $10,000 per child each year tax-free to pay tuition for private or religious school or to pay for expenses related to home schooling.
What to Do?
Start a 529 college savings plan if your child or grandchild is attending or may enroll in a non-public school. Also consider funding a 529 account if you have a disabled child. The new tax law allows you to roll 529 assets into ABLE accounts - tax advantaged savings account for individuals with disabilities.